UK economy is forecast to grow by 1.1% this year, according to the Office for Budget Responsibility (OBR) and is weaker than a previous forecast of 1.4% for 2026. However, expectations were increased for the years ahead, with economic output expected to expand by 1.,6% in 2027 and 2028 and 1.5% in 2025. The government's expected tax revenues are expected to exceed 23.6 billion pounds ($31.4 billion) above projected day-to-day spending in the 2029/30 fiscal year. Prime Minister Theresa Reeves plans to set out more reforms to tackle youth unemployment.